Editorial: Molinaro's budget is responsible, painful

Dutchess County Executive Marc Molinaro's proposed $411.1 million budget is a responsible but painful plan - one that acknowledges past miscalculations and seeks to put the county on a solid financial footing as realistically as possible.

County lawmakers, and the public, must provide their input and look for ways to improve the proposal as much as possible before it finalized.

That won't be easy. Molinaro's budget blueprint had to address a multimillion-dollar shortfall while cutting spending to stay under the state-imposed property tax cap. Overall, spending would be reduced by $1.6 million next year but the property-tax levy would increase by 1.9 percent, just below the state tax cap. Several big initiatives attempted this year - one to reduce costs associated with overcrowding at the county jail, the other generating money from a mortgage tax - never materialized and the executive acknowledges that in his budget plan.

Molinaro pledges to address the jail situation but, significantly, is not including any savings from that effort in next year's budget. This is a clear acceptance that galvanizing public support and gaining state approval for changes will take time. But that job is imperative. The county spends approximately $8 million a year to board inmates out of the county and this is not a sustainable or smart strategy.

The executive also is abandoning any hopes of having the state authorize the reinstatement of the mortgage recording tax that was supposed to generate $4.8 million for the county.

Instead, in what is likely to be the most controversial aspect of this budget, Molinaro wants to repeal the sales-tax exemption on residential energy sources. That means heating oil and natural gas bills will rise, but it also would give the county nearly $8 million in new revenue next year - and some of that money would have to be shared with municipalities.

Molinaro called the repeal plan "painful" but defended the idea, saying the county continues to make workforce and other cuts that will provide larger savings over time.

The county executive says, given the choice, seeing energy bills rise is better than imposing greater hikes on property taxes because people can take steps to reduce their energy consumption while the property tax provides no such wiggle room.

The budget also includes $500,000 to assist families and senior citizens struggling to pay their home heating and energy costs.

If legislators believe there is a better way forward, they should offer responsible and specific ideas as part of the broader budget discussion, but they also must recognize that many levels of government across the state and country are in financial crisis because they have not budgeted realistically.

To that end, Molinaro says the county needs an adequate fund balance - money in reserves - and points out the county dipped dangerously low in this regard as the recession took its toll.

In his short time in office, Molinaro has effectively transformed facets of government, including providing a refreshing level of transparency and starting a grant program under which municipalities compete for seed money that rewards them for ultimately sharing services. The executive also rightly believes the state must make good on its promise to bring more mandate relief, especially in light of the property-tax cap. Approximately 70 percent of the county's costs are mandated by the state and federal, though it also should be noted that counties get monies from these higher levels of government as well.

In reality, the county can't cut itself to success, nor can it afford to dramatically raise taxes and fees on its residents. Dutchess is in need of more economic growth and county officials must continue to push a variety of development efforts.

County officials will work on the budget into early December, when there will be another public hearing, and there is a lot to consider. The public should take part in the process, but there is a particular responsibility on county legislators to dissect the executive's plan and offer alternatives if they see any and can make an effective case that they actually will work.

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Editorial: Molinaro's budget is responsible, painful

Dutchess County Executive Marc Molinaro's proposed $411.1 million budget is a responsible but painful plan ? one that acknowledges past miscalculations and seeks to put the county on a solid

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